In general, limited term contracts mention the start and end dates of the employment period. Unless the contract is renewed, it is automatically cancelled when it expires.
These contracts are adopted where an employer needs to engage employees for specific projects or specific duration.
According to recent reforms in the UAE's labour market, limited term contracts are for a maximum duration of 2 years, unlike 4 years as before. The contract must also include a notice for termination.
Refer to Ministerial Resolution No. 765 of 2015 on the Termination of Employment Relations (PDF 150 KB).
Updated on 09 Jun 2020